North Carolina Down Payment Support Programs

Payments Gateway - The North Carolina Housing Finance Agency got two great plans for First Time Home Buyers. These systems will be the Mortgage Credit Certificate as well as the deposit Assistance Program.

You purchase a house between December 1, 2009 and January 1, 2009 and should you meet the requirements for one of those programs, you can even be eligible for the $8,000 tax credit only enacted into law.

First, who's a First Time Home Buyer? There is a First Time Home Buyer someone who hasn't owned a house in the past three years. It is the exact same qualifying definition for the $8,000 tax credit.

What is a Mortgage Credit Certificate and Who Qualifies?

All home owners can claim an itemized deduction. The MCC takes this a step further.

You'll be able to claim 20% of the interest you pay on your mortgage as a credit on your own federal income taxes, should you are eligible for the MCC. It's possible for you to save up to .

You may be able to combine this should you qualify for 2009, for the MCC. This might reduce a purchaser's tax liability by $10,000.

Who Qualifies for an MCC?

Household income is defined as the “gross income of the mortgagor and any other person expected to reside in the residence who is 18 years of age or older.”

The income and house price limits that apply in Durham, Orange and Chatham Counties are given below.

MCC Income Limitations 1 Individual $61,500 2 Persons $61,500 3 Persons $70,500 4 Men $70,500

MCC Sales Cost Limits New House $220,000 Existing Dwelling $210,000

Who Qualifies for Down Payment Help?

The customer only needs to pay and the load would pay as much as $8,000 of the remaining balance.

This program has more rigorous income limits than the MCC program summarized above. Like the MCC program, it may be used in conjunction with all the new $8,000 tax credit on home purchases between December 1, 2009 and January 1, 2009. The down payment assistance, nonetheless, can not be utilized in combination together with the MCC. This is an either or scenario.

The income and house price limitations that apply in Durham Orange and Chatham Counties are listed below.

Down Payment Assistance Income Limitations

1 Man $39,950 2 Individuals $45,650 3 Persons $51,350 4 Persons $57,050

Down Payment Support Sales Price Limits New House $210,000 Existing Dwelling $210,000